Who does not dream of having a luxurious life in their own home?
We can understand that living in rented houses can be quite frustrating at some point. Every month, the tenants must struggle with the unspoken strain of having to pay a huge sum to the owner. The exorbitant utility bills also add to the stress.
Having your own house in today’s era can be the ultimate dream of everyone, but at the same time, it is difficult to fulfill as the cost of raw materials, labor, and property tax has increased immensely. But don’t lose hope. Some banks in Pakistan offer home financing services to make it easier for you to materialize the dream of owning a house. Even paying a certain amount in installments allows white-collar citizens to enjoy life in their own homes and avoid the stress of rent payment.
In this guide, you will get all the necessary information about the amount of loan that banks offer, the number of installments, and all the other basic requirements of every bank. Let us have a look at the opportunities that these banks are offering in their housing schemes.
Bank Alfalah is providing home loans on very convenient terms and conditions. They usually offer loans from Rs. 2 million to Rs. 50 million, which you can pay in 36 to 240 easy monthly installments.
The filer has to have at least a salary of Rs. 70,000 and be aged between 23 and 60 years. The bank requires your CNIC, 12-month bank statement, salary slips, and a minimum of two years of employment with an employer.
With Habib Bank, you can get a loan amount starting from Rs. 2 million to Rs. 15 million, which is easily payable in 60 to 240 monthly installments. For your extra comfort, HBL is also giving you a loan calculator on their official website that you can use to calculate the loan amount and plan accordingly.
You should have a minimum salary of Rs. 100,000 as the bank might ask for pay slips. Along with this, the bank needs the filer’s CNIC, 12-month bank statement, a minimum of five years of experience, and Pakistani nationality.
The Askari bank gives you a loan starting from Rs. 500,000 to Rs. 20 million, which you can pay in 36 to almost 300 monthly installments.
Like any other bank, they would also require the filer to have at least a salary of Rs. 50,000 with some further necessary processing that may include CNIC, salary slips, and also a 12-month bank statement.
Meezan Bank can give you loans ranging from Rs. 500,000 to Rs. 50 million, which can be paid in 24 to 240 monthly installments.
This bank gives a loan to a person who has a minimum income of Rs. 40,000. Their recommended age bracket is 25 to 65 years. The documents required for further dealing include salary slips, a 12-month bank statement, and at least two years of employment proof.
The great Sadiq Home Financing Division, which was introduced by Standard Chartered, also provides a loan. Just like HBL, this bank also has an online loan calculator so that customers can have a clear picture.
Their loan schemes start from Rs. 3 million to Rs. 30 million, which is payable in 12 to 240 monthly installments. Another interesting thing is that, via Standard Chartered Bank, the financing is offered for up to 75% of the property value.
If you wish this bank to sponsor you, then do take your CNIC, 12-month bank statement, salary slips, and a letter from your employer with you.
Which banks give interest-free loans in Pakistan?
Easy Home, which is the program of Meezan Bank, is a complete interest-free solution for your home financing requirements. Unlike the traditional banking system, Meezan Bank’s Easy Home operates based on the Diminishing Musharakah. The filer shares joint ownership of their home with Meezan Bank.
Keep in mind that the nature of the contract is entirely based on co-ownership and not a loan. The reason behind this is the fact that the transaction is based on joint ownership of a house and not on borrowing and lending.
Meezan Bank consequently shares the cost of the house that is being purchased. Easy Home Shariah-compliant generates shared ownership and then gradually transfers ownership to the purchaser, rather than merely lending money.
Home financing for low-income or unemployed people
In July 2020, the State Bank of Pakistan took several measures to support the provision of financing for the construction and housing sector. Finally, in October 2020, they managed to augment a Government Markup Subsidy Scheme under the name of Mera Pakistan Mera Ghar (MPMG).
This program, which is accessible in both conventional and Islamic modes, allows banks to provide low-interest financing for the building and buying of homes for low- to middle-income people.
Many banks in Pakistan have begun to join them in this scheme.
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We very well know that people usually spend their whole lives saving money to add this piece of property to their asset list. When you agree to apply for a home loan, you have to have an understanding of what is actually required and what is easily accessible to you. Home loans are generally offered to those who are already employed and those who own businesses.
Remember that these are not the only opportunities available, as various other banks, that might include Citibank, HSBC, and even NBP, have their own special programs as well.
If you are looking for home financing, you should stop at all of these banks in person and refer them to the banker to do your homework. After gathering basic information, you can even compare the choices and select the one that suits you best.
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